Decentralized naming could bring ‘next billion’ users to Bitcoin.
As centralized domain incidents highlight security flaws, one executive argued that decentralized naming on the Bitcoin network would be a better option for domain names.
According to Mike Carson, founder of the Bitcoin-based naming protocol Space Protocol, everyone now trusts third parties for their usernames and domain names. However, the incident with decentralized finance (DeFi) protocols based on Squarespace's ledger system highlighted the problems with the current setup.
In the year On July 11, an attack on the Squarespace DNS registry affected more than 100 crypto projects. The vulnerability threatened the DeFi space with phishing attacks, leading to the loss of funds.
Carson believes that this requires decentralized domains and argues that it should be on Bitcoin, the most secure and decentralized blockchain.
Domains are digital assets that must be on the blockchain.
Carson, who founded Park.io and co-founded software firm Wizehive, a domain name backorder service, told Cointelegraph that domains should be on the blockchain. After years of working with domain registrars, the executive realized that domains should be decentralized. He explained.
“After owning and managing three ICANN-accredited registrars and working with various registries and registry operators, I realized that domain names are digital assets and should be managed by blockchain, not centralized trusted third parties.”
The executive compared domain name registrars to banks and Bitcoin (BTC). Carson argued that people shouldn't be forced to rely on a third party to protect them. “Why should we ask for permission to use our money or our name,” he asked.
Carson also highlighted other incidents of government censorship that show the importance of having decentralized domains. In the year In 2017, the Spanish government raided the offices of dotcat (.cat) domains promoting Catalan independence.
The executive also pointed to the blocking of high-profile social media accounts, which he said highlights the importance of decentralized usernames and domain names.
Related: Crypto execs on hacking DeFi domain: Stay away from crypto for now
Domain names must be linked to Bitcoin
Carson, who previously contributed core code to Ethereum Name Service (ENS) and Handshake (HNS), argues that the best solution for domains is Bitcoin. He said it was important because they felt it was inevitable. Carson explained:
“Bitcoin is the most secure and decentralized proof-of-work blockchain, so far. Decentralization means that it should stand on the Bitcoin blockchain.”
The executive said that they have built a space protocol on Bitcoin with these in mind. Carson also said that they built the protocol with “cypherpunk” in mind. “There is no separate token, premium and base. No changes to the Bitcoin protocol are necessary,” he added.
Carson added that they built Spaces to balance billions of names, leaving only a small footprint on the Bitcoin block space. He added:
“I think decentralized naming can bring the next billion users to Bitcoin. There are hundreds of millions of domain names and social media companies have billions of users.”
The domain expert also argued that if there is anything as important as money to society, it is naming. “The value of the blockspace on the Bitcoin blockchain is because it is a very secure and decentralized ledger. The first killer app built to use this is Bitcoin as money. It will be the next designation.”
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